National newspapers need to convince less than five per cent of their current online readers to pay for access to content to make a move away from an advertising revenue model successful, a private equity financier told the Guardian.
Former senior Emap executive Dharmash Mistry, now a partner at private equity firm Balderton Capital, has claimed that getting around three to four per cent of an a paper’s online audience to pay £3 a month would cover the current digital ad revenue he estimates most publishers currently generate.
Mistry said the analysis was based on a print website attracting 20 million unique users a month, adding that each national probably makes under £20m in online ad revenue a year.
Email pged@pressgazette.co.uk to point out mistakes, provide story tips or send in a letter for publication on our "Letters Page" blog
